The average car insurance policy in Colorado costs our sample driver $1,075 per year. State Farm, the cheapest option, costs an average of only $348.

In fact, State Farm is easily the cheapest option available for our sample driver. Progressive, the second most affordable company, costs $806 per year, over $450 more expensive.

Eligible drivers should also get a quote with USAA. A minimum coverage policy cost our driver $412 per year, making it the closest competitor to State Farm. But only active or former military members (and their family members) can obtain a policy.

The table below shows how all Colorado insurers stack up when quoted for a minimum coverage policy. Prices differ by hundreds or even thousands of dollars per year, so when looking for the best rates in your area, you should start with our cheapest recommendations and compare multiple companies.

Rank

Company

Annual premium

1

State Farm

$348

2

Progressive

$806

3

Nationwide

$991

4

GEICO

$1,096

5

Allstate

$1,274

6

Farmers

$1,518

7

American Family

$2,155

N/A*

USAA

$412

USAA was not ranked given its eligibility requirements.

Cheapest full coverage car insurance in Colorado: State Farm

A minimum coverage policy in Colorado only covers the cost of damage or injury to others for which you're liable. A full coverage policy — which includes comprehensive and collision insurance — covers damage to your own car, whether that damage happens on or off the road.

Even after adding comprehensive and collision insurance, State Farm is still the cheapest insurance company in Colorado, with an average rate of $988 per year.

The average full coverage policy in Colorado cost our sample driver $3,164 per year, making it one of the most expensive states in the country. After State Farm, the next two companies with the biggest savings were:

Nationwide: At a cost of $2,298 per year, Nationwide is much more expensive than State Farm. But it's still 27% cheaper than the state average.

GEICO: It's only 8% cheaper than the state average, but GEICO could be a reasonably affordable option for Colorado drivers looking for full coverage.

Comprehensive insurance protects you against damage to your car caused by events not strictly related to driving, such as theft or weather damage. Collision insurance covers you against damage that happens while driving that is not covered by another driver's liability insurance, such as if you strike an inanimate object.

Cheapest full coverage car insurance after an accident: State Farm

A driver with a history of accidents or traffic violations is likely to pay much higher auto insurance rates in Colorado.

After our driver was responsible for an accident causing $2,000 in property damage, State Farm only raised rates 16%, and it remained the cheapest insurer on average.

Other insurance companies in our study raised rates by an average of 33% after the same accident. The company that penalized our driver the least was American Family, which only increased rates by 1%.

Rank

Company

Rate after accident

Rate before accident

Difference )

1

State Farm

$1,143

$988

$155

2

Nationwide

$3,562

$2,298

$1,263

3

American Family

$4,546

$4,516

$31

4

GEICO

$4,546

$2,920

$1,626

5

Progressive

$4,593

$3,269

$1,324

6

Allstate

$5,155

$3,810

$1,345

7

Farmers

$8,154

$5,848

$2,306

N/A

USAA

$2,071

$1,663

$408

Rates are for a year of coverage. The accident in question was the fault of the driver and caused $2,000 in property damage. USAA was not ranked in the table due to eligibility requirements.

Best car insurance companies in Colorado

Everyone should try to find savings on car insurance, as some companies will charge hundreds of dollars more per year than others for similar coverage and service. But if you can afford it, you shouldn't sacrifice customer service quality just to get the lowest rate.

Below we've ranked the customer experience with Colorado insurers based on customer complaint rates. By this standard, the best insurance companies in Colorado are:

Nationwide

State Farm

Travelers

Given that State Farm has cheap rates and ranks well for customer satisfaction, it's a great starting point for Coloradans’ car insurance search. Nationwide is also one of the more affordable options in the state and ranks top for customer service with the lowest complaint rate.

Below, the 10 biggest car insurance companies are ranked by their complaint index.

Rank

Company

Market share

Complaint index

1

Nationwide

1.9%

0.48

2

State Farm

16.4%

0.57

2

Travelers

3.4%

0.57

4

GEICO

8.9%

0.62

5

Allstate

7.8%

0.69

6

American Family Insurance

7.5%

0.7

7

Progressive

11.4%

0.91

8

Farmers Insurance

6.0%

0.97

9

USAA

9.3%

1.14

10

Liberty Mutual (Safeco)

6.8%

1.69

The complaint index is based on data from the National Association of Insurance Commissioners. It is adjusted for the company's size, so complaints are measured in proportion to the amount of policies a company writes. The national median of the index is 1.0, so companies with a score below that have better than average customer service.

Colorado minimum auto insurance requirements

Colorado requires that all drivers maintain a minimum level of auto insurance coverage. Car insurance policies must include both bodily injury liability and property damage liability coverage. Below we've included the minimum limits for liability insurance in Colorado.

Type of insurance

Colorado required minimum

Bodily injury liability

$25,000 per person and $50,000 per accident

Property damage liability

$15,000 per accident

In addition to the required coverages, Colorado residents also have the option to purchase auto insurance policies with additional coverages. Typical offerings include uninsured / underinsured motorist coverage, medical payments coverage, as well as comprehensive and collision insurance.

Cheapest car insurance companies in Colorado: By city

From Denver to Colorado Springs and beyond, car insurance rates for the same driver can change a lot depending on where you live. And insurers will change their rates differently based on location.

However, across the 50 biggest cities in the state, three insurers stand out for affordability: State Farm, USAA and Nationwide. These three companies were the cheapest options for full coverage in all of those locations, making them good options to start your shopping.

Below, we highlight the three cheapest companies in each city for a full coverage policy for our sample driver.

City

Company

Annual premium

Alamosa

State Farm

$893

USAA

$1,613

Nationwide

$1,974

Arvada

State Farm

$1,013

USAA

$1,534

Nationwide

$2,374

Aspen

State Farm

$1,009

USAA

$1,775

Nationwide

$2,199

Aurora

State Farm

$1,151

USAA

$1,658

Nationwide

$2,959

Berthoud

State Farm

$914

USAA

$1,456

Nationwide

$2,170

Boulder

State Farm

$1,028

USAA

$1,433

Nationwide

$2,098

Brighton

State Farm

$994

USAA

$1,497

Nationwide

$2,357

Broomfield

State Farm

$957

USAA

$1,472

Nationwide

$2,218

Castle Pines

State Farm

$1,034

USAA

$1,558

Nationwide

$2,521

Castle Rock

State Farm

$1,080

USAA

$1,583

Nationwide

$2,521

Centennial

State Farm

$1,042

USAA

$1,513

Nationwide

$2,514

Colorado Springs

State Farm

$1,100

USAA

$1,654

Nationwide

$2,424

Commerce City

State Farm

$1,079

USAA

$1,590

Nationwide

$2,495

Cortez

State Farm

$968

USAA

$1,705

Nationwide

$2,240

Craig

State Farm

$953

USAA

$1,775

Nationwide

$2,124

Delta

State Farm

$779

USAA

$1,595

Nationwide

$1,959

Denver

State Farm

$1,165

USAA

$1,687

Nationwide

$2,817

Durango

State Farm

$916

USAA

$1,725

Nationwide

$2,136

Evans

State Farm

$885

USAA

$1,392

Nationwide

$2,170

Federal Heights

State Farm

$1,079

USAA

$1,593

Nationwide

$2,481

Firestone

State Farm

$952

USAA

$1,441

Nationwide

$2,171

Fort Collins

State Farm

$890

USAA

$1,381

Nationwide

$2,170

Fort Lupton

State Farm

$1,036

USAA

$1,524

Nationwide

$2,244

Fort Morgan

State Farm

$927

USAA

$1,808

Nationwide

$2,682

Fountain

State Farm

$1,030

USAA

$1,711

Nationwide

$2,481

Frederick

State Farm

$951

USAA

$1,411

Nationwide

$2,244

Fruita

State Farm

$789

USAA

$1,505

Nationwide

$1,821

Glenwood Springs

State Farm

$885

USAA

$1,772

Nationwide

$2,236

Grand Junction

State Farm

$812

USAA

$1,486

Nationwide

$1,821

Greeley

State Farm

$974

USAA

$1,417

Nationwide

$2,170

Johnstown

State Farm

$974

USAA

$1,456

Nationwide

$2,170

Lafayette

State Farm

$946

USAA

$1,359

Nationwide

$2,098

Lakewood

State Farm

$1,025

USAA

$1,552

Nationwide

$2,526

Lamar

State Farm

$852

USAA

$1,861

Nationwide

$2,258

Littleton

State Farm

$1,043

USAA

$1,629

Nationwide

$2,510

Longmont

State Farm

$922

USAA

$1,430

Nationwide

$2,098

Louisville

State Farm

$928

USAA

$1,432

Nationwide

$2,098

Loveland

State Farm

$892

USAA

$1,367

Nationwide

$2,170

Milliken

State Farm

$885

USAA

$1,456

Nationwide

$2,170

Montrose

State Farm

$856

USAA

$1,595

Nationwide

$1,959

Monument

State Farm

$1,129

USAA

$1,635

Nationwide

$2,416

Northglenn

State Farm

$1,039

USAA

$1,554

Nationwide

$2,472

Parker

State Farm

$1,120

USAA

$1,558

Nationwide

$2,415

Pueblo

State Farm

$1,167

USAA

$1,826

Nationwide

$2,636

Rifle

State Farm

$823

USAA

$1,775

Nationwide

$2,236

Steamboat Springs

State Farm

$983

USAA

$1,615

Nationwide

$2,220

Sterling

State Farm

$945

USAA

$1,808

Nationwide

$2,281

Wellington

State Farm

$826

USAA

$1,452

Nationwide

$2,170

Wheat Ridge

State Farm

$1,143

USAA

$1,564

Nationwide

$2,371

Woodland Park

State Farm

$1,076

USAA

$1,837

Nationwide

$2,177

To give Coloradans some more insight into how insurance rates change based on company and location, we've provided a detailed analysis of the five largest cities in the state below.

Denver

Colorado Springs

Aurora

Fort Collins

Lakewood

State Farm is the cheapest company in each city, but that's just for our sample driver. It's possible one of these other insurers is the cheapest for you, making it worth your time to begin by comparing at least three insurers.

Auto insurance in Denver, CO

Average annual cost = $3,571 (fourth most expensive out of 50 cities)

Thirteen percent more expensive than the Colorado average

The biggest city in the state ranks as one of the most expensive. The insurance company that increases its rates the most in Denver is Nationwide. It charges $2,298 for the state as a whole but $2,817 in Denver.

Auto insurance in Colorado Springs, CO

Average annual cost = $3,421 (eighth most expensive out of 50 cities)

Eight percent more expensive than the Colorado average

Colorado Springs residents will find high prices, too. However, those eligible for USAA should definitely get a quote. It was the only insurance company that decreased rates in this city compared to the state average, and a great option for those looking for cheap car insurance in Colorado Springs.

Auto insurance in Aurora, CO

Average annual cost = $3,656 (second most expensive out of 50 cities)

Sixteen percent more expensive than the Colorado average

Aurora is the most expensive of the five biggest cities in Colorado. Nationwide and American Family charge much more here than they do for the state as a whole: 29% and 25%, respectively. USAA actually charges less here than it does elsewhere.

Auto insurance in Fort Collins, CO

Average annual cost = $2,733 (eighth cheapest out of 50 cities)

Fourteen percent less expensive than the Colorado average

Despite its population, Fort Collins is one of the cheapest big cities for car insurance. All of our sample insurers charge less in Fort Collins compared to their averages for the state. American Family actually offers the biggest discount, lowering rates by 24%, though it is still one of the more expensive options.

Auto insurance in Lakewood, CO

Average annual cost = $3,632 (third most expensive out of 50 cities)

Fifteen percent more expensive than the Colorado average

Lakewood auto insurance is pricey, but shoppers should look to State Farm or USAA. State Farm only charges 4% higher in Lakewood compared to its state average, while USAA lowers its rates by 7%.

Average cost of auto insurance in Colorado: By city

The average cost of a full coverage policy in Colorado is $3,164 per year, or $264 per month, making it one of the most expensive states in the country. Below, we've listed average rates for the 50 biggest cities in the state.

Pueblo is the most expensive city of all. Full coverage car insurance costs an average of $3,833 per year there.

Fruita is the cheapest city. The same policy costs $2,551 per year.

Location is just one factor affecting auto insurance prices and although these averages can give you a good idea of how prices may vary, your quotes will be different.

Rank

City

Average annual car insurance premiums

1

Fruita

$2,551

2

Grand Junction

$2,555

3

Delta

$2,647

4

Loveland

$2,662

5

Montrose

$2,680

6

Wellington

$2,700

7

Berthoud

$2,719

8

Fort Collins

$2,733

9

Evans

$2,751

10

Johnstown

$2,780

11

Milliken

$2,817

12

Longmont

$2,845

13 (tie)

Lafayette

$2,862

13 (tie)

Louisville

$2,862

15

Firestone

$2,864

16

Alamosa

$2,871

17

Greeley

$2,882

18

Steamboat Springs

$2,910

19

Rifle

$2,914

20

Cortez

$2,934

21

Boulder

$2,939

22

Broomfield

$2,951

23

Frederick

$2,953

24

Glenwood Springs

$2,955

25

Castle Rock

$3,005

26

Craig

$3,017

27

Fort Lupton

$3,037

28

Durango

$3,044

29

Brighton

$3,051

30

Aspen

$3,068

31

Lamar

$3,079

32

Parker

$3,093

33

Castle Pines

$3,113

34

Littleton

$3,120

35

Monument

$3,149

36

Arvada

$3,176

37

Centennial

$3,190

38

Sterling

$3,206

39

Northglenn

$3,226

40

Fort Morgan

$3,310

41

Federal Heights

$3,323

42

Commerce City

$3,380

43

Colorado Springs

$3,421

44

Fountain

$3,434

45

Wheat Ridge

$3,470

46

Woodland Park

$3,492

47

Denver

$3,571

48

Lakewood

$3,632

49

Aurora

$3,656

50

Pueblo

$3,833

Methodology

We analyzed rates across over 400 cities for our analysis. When obtaining a quote, we used the profile of a 30-year-old male driving a 2015 Honda Civic EX.

The cheapest insurance in the state can be bought when you buy a minimum coverage policy. In other words, a policy meeting Colorado's state requirements.

When we analyzed a full coverage policy, which provides more extensive protection, it had the following limits and deductibles:

Coverage type

Study limits

Bodily liability

$50,000 per person / $100,000 per accident

Property damage

$25,000 per accident

Uninsured/underinsured motorist bodily injury

$50,000 per person / $100,000 per accident

Comprehensive and collision

$500 deductible

ValuePenguin's analysis used insurance rate data from Quadrant Information Services. These rates were publicly sourced from insurer filings and should be used for comparative purposes only — your own quotes may be different.

Mark is a Senior Research Analyst for ValuePenguin focusing on the insurance industry, primarily auto insurance. He previously worked in financial risk management at State Street Corporation.

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.

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